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The real inflation rate is the s&p growth rate. Index investing is just keeping up with inflation. Most financial instruments, including CD and bonds are trash
by randomhodler84 5y ago
The real inflation rate is the s&p growth rate. Index investing is just keeping up with inflation. Most financial instruments, including CD and bonds are trash that is leaking value. There are other instruments…
- Remnant44 5y agoI'm curious why you think this is true. The aggregate economic output of the US economy is no the inflation rate in any meaningful sense, or else 'economic growth' could be achieved simply by inflating your currency.
- randomhodler84 5y agoIt’s a theory I heard from Michael Saylor interviews. The more I think about it, the more it makes sense. What if inflation was already very bad, far worse than reported, and our efficient markets were merely illustrating this to us. Until the invention of Bitcoin, the only place you could stash fiat in order not go poor slowly was Stonks. It still is stonks, mostly, but some crazy folks like myself have an alternative. I’ve been watching fiat depreciate against the Bitcoin for a while now…
- marcusverus 5y agoNah. Here are some price changes from 1981 - 2021: median home value: 68,900 - 269,039 growth: 390% median income: 22,390 - 79,900 growth: 350% gallon of gas: 1.19 - 3.41 growth: 280% S&P 500: 121.71 - 4,688 growth: 3,752%
- randomhodler84 5y agoYeah, most of the excess is taken up by the stonks. Most people only need one home, and enough gas to fill their 1-2 vehicles. It’s just a theory. We need more data. Next 10y of Bitcoin should show it.
- treeman79 5y agoHealthcare is a big expense. I’ve paid 1400 a month for a good family plan. I recall my dad being upset at paying 500 dollars for an Er visit without insurance back in 90s. Same visit would probably be 5,000 to 50,000 today.